The New York Appellate Division for the Second Judicial Department censured an attorney
Stephen Lyman Segall was disbarred by this Court on April 26, 2011, upon his resignation (see Matter of Segall, 84 AD3d 159). From in or about March 2012 through on or after January 29, 2013, the respondent represented Segall in connection with a felony criminal matter in the County Court, Westchester County. On July 24, 2012, Segall was convicted of grand larceny in the third degree in violation of Penal Law § 155.35. Prior to sentencing, Segall secured a loan from White Pine Holdings, LLC (hereinafter White Pine), in part, to facilitate his payment of restitution in the criminal proceeding, and executed a promissory note on or about October 19, 2012, obligating himself to repay the sum of $62,272.25 plus interest thereon to White Pine. In support of that loan, on or about October 22, 2012, the respondent executed a lien letter in favor of White Pine, wherein he pledged that his law firm would assign 25% of the net legal fees received from certain personal injury cases directly to White Pine until the Segall debt ($63,272.25) was paid in full. Annexed thereto was a schedule providing information concerning more than 20 of the respondent’s personal injury clients, including the name of the client, the date of injury, the insurance carrier, a description of how the claim arose, a description of the client’s injuries and their current medical status, as well as the respondent’s assessment of the settlement and/or post-verdict dollar value. The respondent neither advised the clients that he would be releasing this information nor sought their permission to do so. Approximately two months later, on or about December 18, 2012, the respondent executed a second lien letter in which he pledged that his law firm would repay White Pine a revised principal amount of $68,272.50. The respondent also granted White Pine a blanket lien on all personal injury matters wherein “Izzo Law, P.C.” is the attorney of record.
Thereafter, the respondent met with Jerry Bergson, a principal of White Pine, to discuss issues relating to the debt owed by Segall, the outstanding promissory note Segall had executed, and the two lien letters the respondent had executed. The respondent admits that he should have known or should have inquired whether Bergson was represented by counsel. He also admits that he failed to seek permission from Bergson’s lawyer to speak directly with Bergson.